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HomeMy WebLinkAbout2738 . ~ t : ~ ~ ~ ~ , s ! 4 1. Payment of Debt. Mortgagor will pay the Debt at the time and in the manner provided for its payment in the Note and in this Mortgage. ~ ; 2. Warranty of Title. Mortgagor warrants the title ~ to the Premises, the Improvements and the Equipment. ~ 3. Insurance. Mortgagor will provide at Mortagor's ~ expense: (a) a comprehensive fire and extended coverage insurance policy endorsed to include all risk and replacement value and demolition and increased cost of construction coverage, and covering without limitation, fire, hazard, casualty, collapse, windstorm, flood and sprinkler leakage, vandalism, theft, malicious mischief, and a comprehensive public liability policy (including bodily S injury and property damage) with a combined single limit of at least $1,000,000.00, issued by insurance companies acceptable to the Mortgagee; and ~(b) prior to completion of the Improvements and the issuance of certificate of occupancy therefor, builder's risk } insurance, with extended coverage, non-reporting form, ? upon the Improvements and the Equipment to 100 percent of the insurable value thereof naming Mortgagor as insured with a mortgagee clause acceptable to and naming Mortgagee attached thereto; and from date of completion of the Improvements and issuance of certif icate of occupancy therefor, rental and rental value insurance coverage in an amount at lest adequate to cover twelve (12) months' principal and interest installments on the loan, together with 1/12 of the annual taxes and insurance expense on the Mortgaged Property for a period of at least twelve (12) months. All such policy or policies shall be in the form ! ' in general use from time to time in the locality in which ~ i f the Mortgaged Premises are situatea, for the risk covered i ~ thereby, and shall be issued by companies acceptable to i Mortgagee in form and substance satisfactory to Mortgagee f and contain a standard, non-contributory mortgagee clause ~ showing Mortgagee as a named insured with loss payable to ~ Mortgagee. All such policy or policies of fire and ~ j extended coverage and builders risk insurance shall be in ~ an amount equal to the greater of tne original principal ~ amount of the Note or the full insurable value of the Mortgaged Premises (provided, however, Mortgagee will ~ accept a certificate of insurance under the blanket ~ coverage of Mortgagor or Headway Corporation Limited for ~ fire and hazard insurance coverage). Such policies ~ (hereinafter called the "Policies") together with proot of payment of premiu ms due thereunder for the term of the ~ Note shall be delivered~immediately to and held by ~ Mortgagee. Any and all amounts received by Mortgagee ~ under any of such policies may be applied by Mortgagee on ~ the indebtedness secured hereby in such manner as ~ Mortgagee may in its sole discretion elect or, at the ~ option of Mortgagee, the entire amount so received or any ~ } ~ ~ -3 ~ ~ ~ ~ ~ ~ B~;K 3~.2 P~~E 2734 ; ~ ~ ~ ~ ~ ~